Licensed or unlicensed home daycare is also referred to as family child care, or in home care. It refers to the care provided to a group of children in the home of a caregiver. State laws differ regarding rules for licensed versus unlicensed care. In Canada, most home daycares are unlicensed, and this is completely lawful. Licensing home daycares in Canada can help greatly with oversight, but at the cost of a large portion of the daycare provider's pay. Family child cares are small in size and provide families the same securities as a daycare center, and also has the benefits of flexible hours, lower costs, accessibility, and cultural compatibility. Home-based providers can give more individualized care and therefore better meet the needs of working families. In addition, family care generally has a small ratio of children in care, allowing for more interaction between child and provider than would be had at a commercial care center. Family child care helps foster emotionally secure interpersonal relationships for everyone involved. The providers are able to communicate each day with parents on a personal level and share information about the development of the child. Providers care for multi-aged groups of children allowing children to remain with one caregiver for many years which helps children develop a sense of trust and security. Multi-aged settings allow children to learn from one another and allow siblings to stay together. Some family child care providers may offer parents more flexibility with hours of operation such as evening, weekend, overnight, and before and after school care. In the United States, some family child care providers work with companies such as Wonderschool, for assistance in licensing, operations, marketing, and administrative support.[9]

Childcare varies dramatically across cultures. These discrepancies are attributed to the homestead and household environments. That is, the type of work performed by adult caretakers in a given community strongly influence the type of childcare used. In agricultural/ horticultural societies where work is done to provide sustenance for the community, siblings and similar-aged children are responsible for younger children.[2] While many global communities prefer children aged 7–10 for designated caregiving responsibilities, children no younger than 12 are preferred in the Western world where paid childcare is common.[23] 
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